- The company is entering the European hydroponics market as it expands its foothold in the cannabis supply marketplace through its first order program via Amazon UK
- SGMD estimates that its revenue will reach $30 million by 2019 with operating profitability and positive operating cash flow; it is increasing its commitment to the industrial hemp sector
- The European marijuana market is seen as becoming the largest cannabis market in the world, with more than $150 million invested already
Sugarmade, Inc. (OTC: SGMD) is targeting the European hydroponics market, supplying multiple products for cultivators via its first order through the Amazon UK program. Its agreement calls for it to offer several dozen stock keeping units (SKUs) to be sold in the United Kingdom. A cannabis-related supply company, SGMD projects that its 2019 volume will reach $30 million at operating profitability (http://cnw.fm/0Xl7T).
In a news release, Jimmy Chan, CEO of SGMD, said, “While we have previously informed our investors of our $30 million revenue goal for next year, revenues continue to grow across the board.” He cited the opportunities presented by the lack of available quality products at attractive prices within the European market.
Sugarmade is entering Europe at a time when a new report by analyst group Prohibition Partners projects that, referencing a survey of 28 key countries across the continent, the marijuana market there will be worth €115 billion by 2028. It is seen as becoming the world’s single largest region for cannabis (http://cnw.fm/Go23U).
SGMD, based in Monrovia, California, recently returned to the OCTQB Venture Market as a fully reporting company (http://cnw.fm/mJ3aV). It is a hydroponics supply company committed to growth in the industrial hemp sector. SGMD is a product and brand marketing company with numerous operations, such as packaging and paper goods for diverse industries. By entering the industrial hemp market, it is seeking to increase its revenue base. Its brands include ZenHydro.com, CarryOutSupplies.com and BudLife.
“We not so much believe, but very much know that Europe will become the biggest cannabis industry in the world, it’s just a matter of when,” Stephen Murphy, co-founder and managing director of Prohibition Partners, noted in the report. “The European market has grown faster in the past six months than it has in the past six years.” The article noted that medical cannabis is currently legal in 20 countries across Europe. In 2018, three more announced legalization efforts, and more than $150 million has been invested in those markets already, per the report.
Sugarmade is investing in Hempistry, Inc., a privately held Nevada corporation, which has begun planting an ultra-high cannabidiol (CBD) industrial hemp strain in Kentucky. Additionally, Sugarmade expects to sign an agreement with Hempistry for hemp cultivation supplies.
For more information, visit the company’s website at www.Sugarmade.com
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